India, March 21 -- Auto giant Hero MotoCorp on Thursday (March 20) announced that it will invest up to INR 525 Cr in electric three-wheeler manufacturer Euler Motors.

In a filing with the exchanges, the auto giant said that its board approved a proposal to acquire a "significant stake" in the electric vehicle (EV) startup in one or more tranches, in a mix of primary and secondary investments.

As part of the deal, Hero MotoCorp will pick up equity shares and Series D compulsory convertible preference shares (CCPS) in Euler Motors for a stake of nearly 32.5% on a fully-diluted basis. In addition, the auto giant said that it may also acquire Euler shares from existing stakeholders as part of the INR 525 Cr deal.

Hero MotoCorp expects the ...